InsuringIndia.com is India’s first multilingual ecommerce portal and the leading online insurance aggregator.
We provide a simple and intelligent customer-centric online platform for our clients, in their language of choice, to compare, choose and purchase all types of insurance products.
We also provide services to manage policies online

Thursday, September 11, 2014

Rash Driving Could Cost You Higher Insurance Premium

Vehicle owners having habit of rash driving could end
up paying higher insurance premium for their vehicles; this is one of the key
reforms being incorporated in the new Motor Vehicle & Traffic Safety law.

At present, insurance premium for vehicle is determined on the basis of
vehicles only; but now, if the new law is implemented, it will be linked both
to vehicle and record of its drivers.

As per the law proposed, over the next 1-2 years, data relating to drivers
(whether it's driven by hired driver or the owner itself) and their offences
would be recorded and available online through a centralised database. This
will help vehicle owners verifying the credentials of a driver and get his
driving record. In addition, it would also help insures determine premium
at the time of renewal.

“So, at the time of paying annual premium, the vehicle owner has to pay higher
premium for errant driving. It is the responsibility of the owner to employ a good
driver,“ said an official. The changes in the new Motor Vehicle &
Traffic Safety law is mooted because in most of accidents, drivers are found to
be responsible and there are numerous examples from different cities where the
same driver is found guilty of repeat offences. The proposed law will provide
for higher penalty and negative points for repeat offenders. This move
could help curbing rash and negligent driving.